The government has provided more than $635m (£490m) in guarantees to Carillion and Kier to support the delivery of three major infrastructure projects in Dubai.
International trade secretary Liam Fox revealed that the UK’s export credit agency UK Export Finance had provided the two companies with the lending guarantees to support the delivery of the three major contracts in the emirate.
The UKEF will be guaranteeing finance of $455m to help Kier to design and build the Dubai Arena, a 17,000-seater entertainment and sports venue, and two high-end residential buildings for property developer NSHAMA.
Carillion will receive a $180m (£139m) guarantee to design and build the third phase of One Central, Dubai World Trade Centre’s new mixed-use development in the city’s central business district.
This is the second tranche of government financing received by Carillion for the One Central project after the government provided a $285m (£220m) guarantee for the construction of the first two phases.
The news comes just a day after the government launched Infrastructure Exports: UK, a new partnership between the Department for International Trade and the construction sector aimed at increasing the chances of UK construction firms landed major overseas construction deals.
IE:UK will see some of the country’s largest contractors, consultants, clients and suppliers come together to identify bidding opportunities across the globe and form joint ventures that are best-placed to bid for and win these contracts.
Mr Fox said today: “With these flagship infrastructure projects, Kier and Carillion are helping to directly shape Dubai’s economy by boosting tourism and business infrastructure.
“This is yet another example of the UK’s global leadership in the infrastructure sector, and the Department for International Trade, as an international economic department, is proud to be helping these two outstanding firms succeed abroad with the backing of UK Export Finance.”